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GUIDELINES MARKET DEVELOPMENT

GRANT (MDG) 2018

Effective 1 January 2018

This guideline is only applicable for export promotional activities undertaken between

1 January – 31 December 2018. Guidelines are subject to yearly review and changes

from time to time

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CONTENT

Page

1. General Information

I. Objective II. Form of Grant III. Grant Ceiling IV. Mandatory requirement

4

2. Eligiblity Criteria

I. Small and Medium Enterprise (SMEs) II. Professional Service Providers (Sole Proprietor/ Partnership)

III. Trade & Industry Associations/ Chambers of Commerce/ Professional Bodies

5

3. Eligible Activities/ Grant Amount & Eligible Expenses

I. Participation in International Trade Fairs/ Exhibitions 6

II. Participation in Trade & Investment Missions/ Export Acceleration Missions (EAM)

7

III. Participation in International Conferences Overseas 8

IV. Listing Fee for Made in Malaysia Products in Supermarkets/ Hypermarkets/ Retail Centres Overseas

8

4. MDG Supporting and Claim Documents Checklist

I. Supporting Documents 10

II. Claim Documents

A. Participation in International Trade Fairs/ Exhibitions

12

B. Participation in Trade & Investment Missions/ Export Acceleration Missions (EAM)

13

C. Participation in International Conferences Overseas 14

D. Listing Fee for Made in Malaysia Products in Supermarkets/ Hypermarkets/ Retail Centres Overseas

15

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5. Important Note For Claim Documents 16

6. Annex 1 - Declaration Letter by Supplier Format

(For Trading Companies Only)

18

7. Annex 2 - Trade Fair/ Exhibitions in Malaysia Report Format

(For Exhibition Organiser Only)

[APPLICANTS ARE TO DEAL DIRECTLY WITH THE ORGANISER(S) FOR THE SUBMISSION OF THE TRADE FAIR AUDITED REPORT]

20

8. Annex 3 - Trade & Investment Missions/ Export Acceleration Missions Report Format

(For Exhibition Organiser Only)

22

9. Contact Information 24

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GENERAL INFORMATION

I. OBJECTIVE

To assist Malaysian Small and Medium Enterprises (SMEs), Professional Service Providers, Trade &

Industry Associations, Chambers of Commerce and Professional Bodies in undertaking eligible export

promotional activities.

II. FORM OF GRANT

Reimbursable grant (reimbursable financial assistance).

III. GRANT CEILING

RM 200,000 per eligible company.

(Any company that has utilised the full grant amount of RM200,000, since the date of commencement of

MDG in 2002, will no longer be eligible for consideration)

*MDG reimbursements for any given year will be subject to the availability of funds.

IV. MANDATORY REQUIREMENTS

1. Registered with MATRADE under the Malaysian Exporters Registry (MER)

(Please ensure that your company is already registered with MATRADE and update current

information. If not, you can commence registration at http://www.matrade.gov.my/en/online-

applications/register-as-matrade-member.

2. An active business entity (NOT applicable for company less than one (1) year)

3. Not a Government Linked Company (GLCs) or have government equity (federal or state)

4. Export promotional activities which are subsidised or sponsored by third parties are not eligible for

MDG. (e.g Ministries or Government agencies/ Trade and Industry Associations/ Chambers of

Commerce/ Professional Bodies and Others)

5. All completed applications must be submitted online through MATRADE’s website at

www.matrade.gov.my/mdg/ within forty (40) days as per following:

i. from the last date of promotional activity for:

International Trade Fairs/Exhibitions held locally or overseas;

Trade & Investment Missions or Export Acceleration Missions (EAM);

International Conferences overseas. ii. from the first day of listing in the Supermarkets/ Hypermarkets/ Retail Centres overseas.

LATE APPLICATIONS WILL NOT BE CONSIDERED.

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ELIGIBILITY CRITERIA

I. SMALL AND MEDIUM ENTERPRISES (SMEs)

Incorporated under the Companies Act 1965

At least 60% equity is owned by Malaysian(s)

Exporting products which are made in Malaysia or exporting services originating from Malaysian

companies, and fulfilling the following criteria:

Type of Business Annual Sales or Full Time Employees

Manufacturing:

(including agro-based)

not exceeding RM50 million or not exceeding 200

Trading: not exceeding RM20 million or not exceeding 75

Services:

(excluding real estate)

not exceeding RM20 million or not exceeding 75

* Annual Sales (based on latest Audited Financial Statement) * Full Time Employees (based on latest EPF Statement)

II. PROFESSIONAL SERVICE PROVIDERS (SOLE PROPRIETOR OR PARTNERSHIP)

Incorporated under the Registration of Business Act (1956)/ Registered under the respective

statutory bodies for professional services providers

At least 60% equity owned by Malaysian(s)

Exporting Malaysian services; and fulfill any of the following criteria: :

Annual Sales or Full Time Employees

not exceeding RM20 million or not exceeding 75

III. FOR TRADE & INDUSTRY ASSOCIATIONS/ CHAMBERS OF COMMERCE/ PROFESSIONAL

BODIES

Registered with the Registrar of Society (ROS) or Associated Professional Authority.

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ELIGIBLE ACTIVITIES/ GRANT AMOUNT & ELIGIBLE EXPENSES

I. PARTICIPATION IN INTERNATIONAL TRADE FAIRS/ EXHIBITIONS

ACTIVITY DESCRIPTION *GRANT AMOUNT

EXPENSES

a) International Trade Fairs/ Exhibitions in Malaysia

Business to business (B2B) events.

(Consumer Fairs (B2C)/ Festival Fairs or similar events are not eligible for consideration).

RM5,000 Participation/ Registration Fee

Booth Rental and Construction

Air Fare

Land Transportation (Malaysia to ASEAN countries)

Accommodation b) International Trade

Fairs/ Exhibitions Overseas

RM15,000

*The maximum claim amount is as per company per participation or the actual eligible expenses, whichever is lower.

Additional info

ACTIVITY DESCRIPTION

International Trade Fairs/ Exhibitions in Malaysia

For events not organised by MATRADE, the following criteria will apply:

i. Minimum requirement: a. gross space occupied must be at least 1,000 square meters; and b. 10% foreign visitors; or c. 20% net space rented to foreign exhibitors; or d. 20% foreign exhibitors.

ii. MATRADE shall receive the Trade Fair/ Exhibition Audited Report by

certified auditor confirming compliance of item (i) of the above together with: a. Show directory b. Form 4 (Form of Renewal of Approval of Auditor) c. Auditor Certificate (Practicing Certificate)

iii. The report must be submitted within forty (40) days from the last date

of the Trade Fair/ Exhibition. (Format as in Annex 2) iv. Applicants are to deal directly with the organiser(s) for the submission

of the Trade Fair Audited Report.

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II. PARTICIPATION IN TRADE & INVESTMENT MISSIONS/ EXPORT ACCELERATION MISSIONS

ACTIVITY DESCRIPTION *GRANT AMOUNT

EXPENSES

a) Trade & Investment Missions/ Export Acceleration Missions

Organised by MATRADE RM10,000 Participation/ Registration fee

Air Fare

Land Transportation (Malaysia to ASEAN countries)

Accommodation

Jointly organised with MATRADE (subject to approval)

b) Trade & Investment Missions/ Export Acceleration Missions organised by other Government Agencies, Chambers of Commerce, Trade and Industry Associations and Professional Bodies

Organised by:

i. Malaysian Government Ministries or Agencies

ii. Chambers of Commerce

iii. Trade and Industry Associations

iv. Professional Bodies

that are registered in Malaysia.

RM2,000

*The maximum claim amount is as per company per participation or the actual eligible expenses, whichever is lower.

Additional info

ACTIVITY DESCRIPTION

Trade & Investment Missions/ Export Acceleration Missions organised by other Government Agencies, Chambers of Commerce, Trade and Industry Associations and Professional Bodies

i. The organiser of the mission must submit the full report of the mission within forty (40) days from the last date of the mission, by using the MDG report format attached. Failure to submit within the specified time frame or to comply with the full report requirements, will result in the rejection of the company’s application.

ii. The report format for Trade & Investment Missions/ Export Acceleration Missions (EAM) is as per Annex 3.

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III. PARTICIPATION IN INTERNATIONAL CONFERENCES OVERSEAS

ACTIVITY DESCRIPTION *GRANT AMOUNT

EXPENSES

International Conferences Overseas

The activity must be related to the promotion of exports for the industry or professional services.

(It does not apply to workshops, seminar or training for the purpose of acquiring skills, upgrading knowledge or human capital development)

RM2,500 Participation/ Registration fee

Air Fare

Land Transportation (Malaysia to ASEAN countries)

Accommodation

*The maximum claim amount is as per company per participation or the actual eligible expenses, whichever is lower.

IV. LISTING FEE FOR MADE IN MALAYSIA PRODUCTS IN SUPERMARKETS/ HYPERMARKETS/ RETAIL CENTRES OVERSEAS

ACTIVITY DESCRIPTION *GRANT AMOUNT

EXPENSES

Listing Fee for Made in Malaysia products in Supermarkets / Hypermarkets / Retail Centres Overseas

Limited to one Supermarket/ Hypermarket/ Retail Centre per country.

RM20,000 Listing Fee

*The maximum claim amount is as per company per participation or the actual eligible expenses, whichever is lower.

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MDG SUPPORTING AND CLAIM DOCUMENTS CHECKLIST

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MDG SUPPORTING AND CLAIM DOCUMENTS CHECKLIST

i. SUPPORTING DOCUMENTS FOR APPLICATION

NO TYPE OF BUSINESS SUPPORTING DOCUMENTS TICK

1. Manufacturing i. Certificate of Incorporation Form 9 or Form 13

ii. Latest Form of Annual Return of Company Having A Share Capital (full set)

iii. Company’s Audited Financial Statement for the year 2015 or 2016 (full set)

iv. Latest EPF Statement (Form A is not applicable)

2. Trading i. Certificate of Incorporation Form 9 or Form 13

ii. Latest Form of Annual Return of Company Having A Share Capital (full set)

iii. Company’s Audited Financial Statement for the year 2015 or 2016 (full set)

iv. Latest EPF Statement (Form A is not applicable)

v. Letter of declaration by supplier to certify that products are made in Malaysia (Format as per Annex 1 and to be printed in supplier Letterhead)

vi. Company Brochure/ Company Profile

3. Services i. Certificate of Incorporation Form 9 or Form 13

ii. Latest Form of Annual Return of Company Having A Share Capital (full set)

iii. Company’s Audited Financial Statement for the year 2015 or 2016 (full set)

iv. Latest EPF Statement (Form A is not applicable)

v. Company Brochure/ Company Profile

4. Professional Service Providers

(partnership/ sole proprietor)

i. Registration Letter/ License/ Certificate issued by Professional Services Body

ii. Management Account / Income Statement/ Company Account/ Company’s Audited Financial Statement for the year 2015 or 2016 (full set)

iii. Latest EPF Statement (Form A is not applicable)

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NO TYPE OF BUSINESS SUPPORTING DOCUMENTS TICK

5. Chambers Of Commerce, Trade And Industry Associations & Professional Bodies

i. Registration certificate issued by the Registrar of Society/ Associated Professional Body/ Certificate Of Incorporation Of Public Company (Form 8)

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ii. CLAIM DOCUMENTS FOR APPLICATION

A. PARTICIPATION IN INTERNATIONAL TRADE FAIRS/ EXHIBITIONS (IN MALAYSIA AND OVERSEAS)

TYPE OF EXPENSES CLAIM DOCUMENTS

*original to be scanned in colour

TICK

a) Participation Fee / Booth Rental

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer; and

ii. Invoice(s), or

iii. Confirmation letter from the organiser (if sponsored or subsidised)

b) Booth Construction/ Enhancement

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer; and

ii. Invoice(s),

c) Air Fare

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer,

ii. Invoice(s); and

iii. Boarding pass/ Passport with Immigration stamp of entry into & exit from the foreign country

d) Land Transportation (Malaysia to ASEAN countries only)

i. Receipt/ Tickets

e) Accommodation i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic

Transfer ii. Guest Folio/ Invoice(s)

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B. PARTICIPATION IN TRADE & INVESTMENT MISSIONS/ EXPORT ACCELERATION MISSIONS (EAM)

TYPE OF EXPENSES CLAIM DOCUMENTS

*original to be scanned in colour

TICK

a) Participation Fee

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer; and

ii. Invoice(s), or

iii. Confirmation letter from the organizer (if sponsored or subsidized)

b) Air Fare i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer,

ii. Invoice(s); and iii. Boarding pass/ Passport with Immigration stamp of entry into & exit

from the foreign country

c) Land Transportation (Malaysia to ASEAN countries only)

i. Receipt/ Tickets

d) Accommodation i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer

ii. Guest Folio/ Invoice(s)

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C. PARTICIPATION IN INTERNATIONAL CONFERENCES OVERSEAS

TYPE OF EXPENSES CLAIM DOCUMENTS

*original to be scanned in colour

TICK

a) Participation Fee

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer;

ii. Invoice(s),

iii. Conference Programme

iv. Confirmation letter from the organiser (for speaker or presenter), or

v. Confirmation letter from the organiser (if sponsored or subsidised)

b) Air Fare i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer,

ii. Invoice(s); and iii. Boarding pass/ Passport with Immigration stamp of entry into & exit

from the foreign country

c) Land Transportation (Malaysia to ASEAN countries only)

i. Receipt/ Tickets

d) Accommodation i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic

Transfer ii. Guest Folio/ Invoice(s)

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D. LISTING FEE FOR MADE IN MALAYSIA PRODUCTS IN SUPERMARKETS/ HYPERMARKETS/ RETAIL CENTRES OVERSEAS

TYPE OF EXPENSES CLAIM DOCUMENTS

*original to be scanned in colour

TICK

a) Listing Fee

Directly with with the Supermarkets/Hypermarkets/Retail Centres Overseas

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer;

ii. Payment Voucher

iii. Invoice(s) from the Supermarket/ Hypermarket/ retail Centre and

iv. Offer/ Invitation Letter from the Supermarkets/ hypermarkets/ Retail Centres

Through an authorised agent of the Supermarkets/ Hypermarkets/ Retail Centres Overseas

i. Receipt/ Bank Statement/ Credit Card Statement/ Telegraphic Transfer;

ii. Payment voucher;

iii. Appointment letter of the agent to act on your behalf; and

iv. Offer/ invitation letter from the Supermarket/ Hypermarket/ Retail Centre/ to the agent.

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IMPORTANT

i. MDG claims MUST be supported by original receipts or bank statements or credit card

statements or telegraphic transfers and invoice(s) as proof of participation. These documents must be scanned in color. *(If scanned documents in color are not available, black and white photocopies can be accepted provided they are certified by an External Auditor or Chartered Accountants or Commissioner for Oaths or the issuer of the payment document)

ii. All claim documents MUST be under the applicant’s name. Submission of claim documents under names other than the applicant, will not be accepted.

iii. Documents not in the English language must be accompanied by an English translation.

REMINDER:

All Original Documents Must Be Fully And Clearly Scanned in Color

If applicant is unable to provide scanned original copies, photocopies of these documents are acceptable provided they are certified by an External Auditor or Chartered Accountants or Commissioner for Oaths or the issuer of the payment document.

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ANNEX 1:

For Trading Companies ONLY

DECLARATION LETTER BY SUPPLIER FORMAT

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Annex 1

SAMPLE DECLARATION LETTER

(On Supplier’s Original Letterhead)

(Supplier address)

MADE IN MALAYSIA PRODUCT DECLARATION AND CERTIFICATION

To MDG Section:

Our company hereby declares and certifies that all of the following products listed below are

manufactured and made in Malaysia by our company for (MDG applicant’s name eg: ABC Sdn Bhd)

No. Name of products Details of products

1.

2.

3.

4.

5.

(Please add more rows if space is insufficient)

2. Our company through the undersigned hereby declares that the above details and statements are true,

correct and complete; that all the listed products are produced in Malaysia and that the products comply with the

origin requirements specified for each products. Attached is the necessary document to support the above

certification. (if any)

3. Our company fully understands that in the event that any information given is found to be incorrect, false,

misleading or wrong, the undersigned and/ or the company may be liable to face any penal actions including but

not limited to the Penal Code (Act 574) and/ or other consequences as may be prescribed by the laws or otherwise

warranted.

4. Our company undertakes and agrees to fully indemnify MATRADE in full, from and against all

consequences, liabilities, actions, suits, proceedings, damages, costs, claims, demands, expenses, and/or losses

whatsoever which may be taken or made against MATRADE or incurred or become payable by MATRADE by

reason of or on account of or arising out of MATRADE’s reliance on the Company’s declaration above.Thank you.

Certified by,

Signature of Company’s official

Authorised Signatory Rubber stamp

Name of Authorised Signatory

Designation of Authorised Signatory

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ANNEX 2:

For Exhibition Organiser Use ONLY

TRADE FAIRS/ EXHIBITIONS HELD IN MALAYSIA REPORT FORMAT

[APPLICANTS ARE TO DEAL DIRECTLY WITH THE ORGANISER(S) FOR THE SUBMISSION OF THE

TRADE FAIR AUDITED REPORT]

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Annex 2

AUDITED REPORT OF EXHIBITION

(This record MUST BE filled by an External Auditing Firm/Chartered Accountant)

1. Name of Exhibition : 2. Date : 3. Venue : 4. Number of Times the Exhibition Has Been Previously Held : 5. Total Gross Space Occupied (sq.m.) : a) Total Space Occupied by Malaysian Exhibitors : b) Total Space Occupied by Foreign Exhibitors : 6. Total Number of Exhibitors : a) Number of Malaysian Exhibitors : b) Number of Foreign Exhibitors

i) Majority of Foreign Exhibitors Coming From (list 5 major countries and their % compared to the total number of exhibitor)

:

7. Total Number of Visitors : a) Number of Malaysian Visitors

i) Number of Trade Visitors ii) Number of General Public

:

8. Number of Foreign Visitors : i) Majority of Foreign Visitors Coming From (list 5 major

countries and their compared to the total number of visitor)

BY EXTERNAL AUDIT FIRM:-

Authorised Signatory:

Name of Authorised Signatory:

Firm / Company Name:

Firm/ Company’s Official Rubber Stamp:

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ANNEX 3:

For Mission Organiser Use ONLY

TRADE & INVESTMENT MISSIONS (TIM)/

EXPORT ACCELERATION MISSIONS (EAM)

REPORT FORMAT

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REPORT ON TRADE MISSIONS/ EXPORT ACCELERATION MISSIONS

(EAM)

1. INTRODUCTION

2. OBJECTIVES OF THE MISSION

3. MALAYSIAN DELEGATION

No. of delegates in details (by how many company/ government agency/ representative of association etc)

Detail list of delegates as per ANNEX I.

4. MISSION PROGRAMME

The ( x ) days programme comprises:

4.1 Detail programme as per ANNEX II

4.2 Business Matching Session (Individual Business Meeting)

Details of the Business Matching

Detail list of the buyer during the Business Matching as per ANNEX III.

Total number of of business meetings conducted during the Mission

Total generated/ potential sales or other opportunities

Pictures during the Business Matching Session

4.3 Others (Meeting, MOU signing, business visit, etc.)

Objectives

Details

Outcome

5. MISSION OUTCOME

5.1 Potential Sales

Reported by exporters:

Actual sales:

Potential sales:

Areas of potential business:

5.2 General Comments by Malaysian Exporters

5.3 Challenges Faced by Malaysian Exporters

6. CONCLUSIONS / RECOMMENDATIONS

Annex 3

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Annex I

LIST OF MALAYSIAN DELEGATES

Annex II

PROGRAMME FOR TRADE MISSION/ EXPORT ACCELERATION MISSIONS (EAM) ON……

(PLACE & DATE)

Date (Day 1)

(Time) hrs :

(Time) hrs :

Date (Day 2)

(Time) hrs :

(Time) hrs :

Annex III

LIST OF BUYERS

No. Company Details Business Interest Representative

1.

Company Name

Business Address

Name (in full)

Designation

No. Company Details Business Interest Representative

1.

Company Name

Business Address

Name (in full)

Designation

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Note: This guideline is applicable for export promotional activities undertaken from 1 January 2018 and is

subject to change from time to time.

If the documentation or claim is found to be false, the applicant and/ or company or both, will be blacklisted and will be required to reimburse in full to MATRADE, all monies received from MDG. CONTACT INFORMATION All enquiries are to be directed to Market Development Unit Market Development Unit 8th Floor, East Wing Menara MATRADE Jalan Sultan Haji Ahmad Shah 50480 Kuala Lumpur Tel: 03-6207 7593 Fax: 03-6203 7252 Website: www.matrade.gov.my Email: mdg@matrade.gov.my